NASEER AHMED Vs. DIRECTOR, ESI CORPORATION

JUDGEMENT

(1.) Petitioner, one of the directors of M/s Bombay Rayon Fashions Limited-Unit 16, (for short 'company'), a Company incorporated under the Companies Act, 1956 and registered in the State of Karnataka, when accused of commission of offence of failure to pay contribution under The Employees' State Insurance Act, 1948 ('the Act' for short) which he was liable to pay under Section 85(A) of the Act, in C.C.No.176/2013 before the Special Court Economic Offences, Bangalore, instituted by the respondent, and over which cognizance was taken and summons issued, has presented this petition for a writ of certiorari to quash the criminal prosecution.

(2.) The Department of Factories and Boilers, in the State of Karnataka, under the Factories Act, 1948 (for short 'Factories Act'), issued a licence, Annexure-A, to the company, to carry on its business at the factory located in Bangalore, followed by renewal of the said licence for the year 2013, Annexure-B, in Form No.2 under Rules 4(1), 7(2) and 12 of the Factories Act and Rules 1948, indicating that one Saravanan, the 4th accused, is the Manager of the factory for the purposes of the Factories Act, while Uday C.Mogre, the 2nd accused, as its Director.

(3.) The respondent-Employees' State Insurance Corporation (for short 'ESIC'), sought for details of ownership of the company in the format issued by it whence the company submitted the format duly filled up, dated 19.02.2013, and acknowledged on the same day, Annexure-C. In the said form against column No.3 "particulars of owner", the name is shown as 'Uday C. Mogre', and against "status", as 'Director'. As against column No.5, the "particulars of Manager/ occupier, if registered under the Factories Act", the name of 'Saravanan' mentioned, and as against column No.6, the same name is mentioned as the person in charge of all matters and responsible for conducting the business of the Factory. Enclosed to Annexure-C is the list of names and particulars of all the Directors of the Company, including the name of the petitioner.